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Securitization People and Markets

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  • Citigroup is facing a slew of lawsuits related to the subprime mortgage market, according to a recent filing made with the Securities and Exchange Commission.
  • Moody’s Investors Service today placed on negative watch financial guarantor CIFG’s AAA rating. Moody’s expects to make a decision on the rating within two weeks.
  • Hillmark Capital Management chief operating officer Jack Chen has left the firm after Hillmark opted to abandon a credit derivative product company platform Chen had been heading.
  • Morgan Stanley is developing a new method of wrapping bonds that it hopes will draw investors back to a rattled credit market.
  • Christopher Skardon, head collateralized debt obligation trader at Bank of America, has left the firm.
  • Credit-default swaps on monolines that choose to split their businesses in half will face a succession event, causing a significant repricing of the contracts., according to lawyers.
  • Clayton DeGiacinto and Michael Cawthon, formerly Goldman Sachs traders in adjustable-rate and scratch and dent mortgages, respectively, have left the firm and are starting their own fund, according industry sources.
  • State Street recently saw a third collateralized debt obligation it manages begin to liquidate.
  • Alvin Chua, head of institutional sales for debt capital markets, has left Bank of America in Hong Kong.